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A owes B Rs. 1120 payable 2 year hence, ...

A owes B Rs. 1120 payable 2 year hence, B owes A Rs. 1081.50 payable 6 months hence. If they decide to settle their accounts forthwith by payment of ready money and the rate of interest be 6% per annum, then who should pay and how much?

A

A Rs. 50

B

B Rs. 50

C

A Rs. 70

D

B Rs. 70

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